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Share Price Information for Firstgroup (FGP)

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Share Price: 168.00
Bid: 167.40
Ask: 167.50
Change: -0.10 (-0.06%)
Spread: 0.10 (0.06%)
Open: 164.20
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Train drivers to strike again after 'risible' pay offer

Thu, 27th Apr 2023 12:06

(Sharecast News) - Train drivers' union Aslef rejected a pay offer from 16 train operators on Thursday, announcing several more days of strike action in May and June.

The union said drivers had not received an increase in salary from the 16 train operating companies since 2019.

It explained that its negotiating team, consisting of general secretary Mick Whelan, assistant general secretary Simon Weller, and executive committee president Dave Calfe, had met with employer representatives eight times under the framework of the Rail Industry Recovery Group in an attempt to find a resolution.

The talks had continued for a year since Aslef first balloted its members for industrial action in June, in a bid to secure a pay rise for drivers who had not had an increase in at least three years.

Six of the pay deals fell due in April 2019, with others falling due at different times.

Aslef said the Covid-19 pandemic and lockdowns caused a delay in negotiations, but claimed it took eight one-day strikes by members to bring the train operating companies to the table for "meaningful" talks.

Strikes were already held on 30 July, 13 August, 1 October, 5 October, 26 November, 5 January, 1 February and 3 February.

"Our executive committee met this morning, and rejected a risible proposal we received from the RDG - a pressure group which represents some of the train companies, and lobbies on their behalf - late on Wednesday afternoon," said Aslef general secretary Mick Whelan.

"The proposal of just 4% was clearly not designed to be accepted, as inflation is still running north of 10% and our members at these companies have not had an increase for four years.

"The RDG, in turn, rejected our proposals to modernise Britain's railways and help them run more efficiently, for passengers and for businesses, in the 21st century."

As a result, Whelan said Aslef was announcing three more days of strike action on 12 May, 31 May, and 3 June, at the companies with which it was in dispute, and which he said were "letting down" passengers and taxpayers.

"We are also withdrawing non-contractual overtime from 15 to 20 May inclusive, as well as on 13 May and 1 June."

The companies Aslef remains in dispute with include Avanti West Coast and parts of South Western Railway, which are both 70% owned by FirstGroup; the German state-controlled firms Chiltern Railways and CrossCountry; privately-owned Transport UK Group firm East Midlands Railway and joint ventures Greater Anglia and West Midland Trains; FirstGroup subsidiaries GWR and TransPennine Express; Go-Ahead Group brands Thameslink, Great Northern, Southern and Gatwick Express; and the nationalised LNER, Northern Trains and Southeastern.

At 1147 BST, shares in FirstGroup were down 0.09% at 112.2p.

Reporting by Josh White for Sharecast.com.

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